The administration of US President Donald Trump is preparing to launch trade investigations that could pave the way for new tariffs.
The U.S. Trade Representative’s Office (USTR) is reportedly planning to launch new investigations under Section 301 into alleged “unfair trade practices” by some countries.
The planned investigations could pave the way for new tariffs, particularly against some countries, primarily China, and potentially the European Union. Officials say the investigations will focus on practices alleged to distort competition in global trade.
This step is expected to replace the temporary tariffs that were implemented last month but later faced legal challenges. The United States Supreme Court had ruled that some of the previously imposed tariffs were illegal. Following this decision, the US administration implemented temporary 10% tariffs globally.
The new Section 301 investigations could cover topics such as industrial production overcapacity, digital trade regulations, and allegations of forced labor. However, it is stated that completing the process and implementing any potential new tariffs could take several months.
*This is not investment advice.